Grains Dig In, Cattle Soar
Presented by Heartland Investor Capital Management Inc. CTA
🌽 Corn
Corn surrendered part of Monday’s rally as crude oil collapsed and rain reached portions of eastern Nebraska and northwest Iowa.
Crop ratings fell 2%, more than expected, while early yield estimates are near 182 bushels per acre.
Lower production and stronger export demand could push new-crop carryout closer to 1.6 billion bushels.
Corn finished below its 20-day and 200-day moving averages but could attempt a recovery Wednesday.
🌱 Soybeans
Soybeans followed crude oil and corn lower as weather forecasts showed improving rainfall potential.
November futures fell through the important 35-day moving average but held the 62% retracement on the close.
The market needs to recover quickly to prevent additional technical selling.
Early trade estimates suggest USDA could lower its soybean yield to approximately 52.5 bushels per acre.
🌾 Wheat
Chicago wheat returned to its 50-day moving average as the market continued correcting lower.
Black Sea shipping risks remain unresolved despite discussion of another potential peace agreement.
Chicago wheat has a potential buying target near $6.25, while Kansas City wheat could find support around $6.94.
Longer-term expectations remain favorable if Black Sea export disruptions continue.
🐂 Cattle
October live cattle recovered after establishing a V-shaped technical low.
A move through $230 could open the door for a rally toward the $233 area.
September feeder cattle returned to resistance near $348.50, with a breakout potentially targeting $354.
August options expiration, delivery, and this week’s cash trade could limit immediate upside momentum.
Provided by:
Eugene Graner,
Heartland Investor Capitol Management, Inc., CTA
(A separate entity from Heartland Investor Services)
Past performance is not indicative of future results. The information contained in this report is intended for informational purposes only and is the opinion of the writer and may change at any time. This information was compiled from sources believed to be reliable to Heartland Investor Capital Management, Inc. but accuracy cannot be and is not guaranteed. There is no warranty, expressed or implied, in regards to this information for any particular purpose. There is SIGNIFICANT RISK of LOSS involved in trading futures and / or options on futures and may not be suitable for all investors. Investors should consider these RISKS and evaluate their suitability based on their financial conditions. No one should ever consider trading futures or options on futures with anything other than RISK CAPITAL. NO LIABILITY on the part of the author exists for any trading loss you may incur in the use of this information. The information contained in this newsletter is privileged, confidential and protected from disclosure. Any further disclosure or use, distribution, dissemination or copying of this message or any attachment is strictly prohibited. Provided by Heartland Investor Capital Management, Inc. a registered CTA with the NFA, of which Eugene Graner is principal. This entity is a separate legal entity from the Introducing Broker Heartland Investor Services.